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toll revenue bond

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Financial Dictionary

Toll Revenue Bond

A type of municipal bond used to build a public project such as a bridge, tunnel or expressway. The bond is repaid with revenues from tolls paid by users of the public project in question.

Investopedia Commentary

The main reason municipalities use these revenue bonds is because the bonds allow them to avoid reaching legislated debt limits.

Related Links

The Basics of Municipal Bonds
Weighing The Tax Benefits Of Municipal Securities
Bond Basics Tutorial

See also: Bond, Municipal Bond, Private Purpose Bond, Revenue Bond, Special Tax Bond

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